TRA Achieves 78% Revenue Growth in Four Years

TRA Records 78% Revenue Growth in Four Years

Dodoma, March 13, 2025 – The Tanzania Revenue Authority (TRA) has achieved a remarkable 78% increase in tax revenue collection over the past four years under the Sixth Phase Government. This growth was highlighted by TRA Commissioner General Yusuph Mwenda during a press briefing in Dodoma, where he presented an overview of TRA’s accomplishments under President Samia Suluhu Hassan’s administration.

According to Mwenda, tax revenue collections surged from TZS 11.92 trillion to TZS 21.20 trillion, marking a significant milestone in TRA’s efforts to expand revenue streams and improve tax compliance.

Presidential Directives Drive Growth

Mwenda attributed this success to the strategic implementation of directives issued by President Samia Suluhu Hassan, which emphasized three key areas:

1. Efficient tax collection – Ensuring tax compliance with professionalism and transparency.

2. Expanding the tax base – Encouraging more businesses and individuals to contribute.

3. Enhancing taxpayer relations – Building trust and cooperation through the 4R approach (Reconciliation, Resilience, Reform, and Rebuilding).

Exceeding Collection Targets

TRA surpassed its revenue collection target for the first eight months of the 2024/25 financial year. Between July 2024 and February 2025, the authority collected TZS 21.20 trillion, exceeding the projected TZS 20.42 trillion by 104% and reflecting a 17% increase from the TZS 18.06 trillion collected during the same period in the 2023/24 financial year.

Comparing the collections to the period before the Sixth Phase Government took office, Mwenda noted a significant rise, as revenue grew by TZS 9.28 trillion—a 78% increase from TZS 11.92 trillion collected between July 2020 and February 2021.

Strengthening Business Relations

TRA has also focused on fostering better relationships with businesses and taxpayers to address concerns and facilitate smoother tax compliance. To achieve this, the authority has:

• Conducted regular meetings with both large and small taxpayers across all regions.

• Established Thursday as a dedicated day for addressing taxpayer concerns, allowing them to meet TRA officials at branch, regional, or assistant commissioner levels.

• Strengthened partnerships with government agencies, religious institutions, and organizations such as the Tanzania Football Federation (TFF) to promote tax awareness.

Improving Investment Climate

Efforts to create a more business-friendly environment have included streamlining tax payment procedures and reducing bureaucratic hurdles, attracting more investors and expanding the taxpayer base.

TRA has also forged closer ties with the Tanzania Investment Centre (TIC), forming a joint team to resolve taxation issues faced by investors. This collaboration has significantly boosted tax refunds, which increased from TZS 92.37 billion between July 2020 and February 2021 to TZS 1.2 trillion in the same period four years later.

Enhancing Integrity and Accountability

Mwenda emphasized TRA’s commitment to professionalism and ethical standards among its employees. Over the past four years, measures taken to uphold integrity included:

• Dismissal of 14 employees for misconduct.

• Salary reductions for six employees as a disciplinary action.

• Demotion of 12 employees for non-compliance with ethical standards.

• Issuance of written warnings to 22 employees for minor infractions.

Future Plans and Workforce Expansion

Looking ahead, TRA aims to sustain its revenue collection momentum and enhance service delivery. The authority plans to recruit 1,596 new employees by June 2025, ensuring efficient tax administration and broadening its capacity to meet the government's development objectives.

“Our goal is to continue mobilizing sufficient revenue to support national development and improve public services for Tanzanians,” Mwenda concluded.